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ADC 312

Denial Management Code in a Supply Status Transaction 

1. ORIGINATOR: 

 a. Service/Agency: Department of the Army G-44(S) 

 b. Originator: Department of the Army G-44(S), Office of the Director of Supply, 

Secondary Items Division, 703-692-9834 (DSN 645) 

2. FUNCTIONAL AREA: Primary: Supply 

3. REFERENCE: DLMSO Memorandum dated 14 March, 2006: Approved Defense 

Logistics Management System (DLMS) Change (ADC) 191, Management Codes on Supply 

Transactions. Among other requirements, ADC 191 documented an intra-Army requirement 

for the Source of Supply (SoS) to provide the customer a Supply Status (DLMS 

870S/MILSTRIP AE_ status transaction) with Status Code BD and Management Code R 

when a storage site denial has been processed against a Materiel Release Order generated by 

the SoS in support of the customer’s requisition. This status transaction allows the Army 

customer system to clear their suffix record when an MRO denial has occurred. Further 

action on the denied quantity is anticipated to occur on a subsequent suffix code. 

4. APPROVED CHANGE: 

 a. Description of Change: This change requires that the denial management code 

approved by ADC 191 for use on a supply status transaction on an intra-Army basis be 

established for DoD usage. Revisions to MILSTRIP/DLMS are identified in bold italics. 

Yellow highlighting is used to identify a procedural clarification provided in response to 

comments received during coordination. 

 (1) The requirement is for the SoS to generate a Supply Status (DLMS 870S/MILSTRIP 

AE8) with Status Code BD and Management Code R citing the MRO denied quantity and 

suffix when the SoS receives a storage site denial against an MRO. This status transaction 

will allow the customer system to amend/clear their suffix record when an MRO denial has 

occurred. Further action on the denied quantity is anticipated to occur on a subsequent suffix 

code. 

 (2) This change will authorize Management Code R for use on an inter-Service basis 

within both MILSTRIP and DLMS. It is requested that all participating Services/Agencies 

adopt these procedures at the SoS and customer level, especially during modernization of 

legacy systems. DLA has indicated they will adopt this process and provide the denial 

management code in a supply status transaction when an MRO denial is processed against a 

requisition, regardless of requisitioning Service/Agency. 

 (3) The Defense Automatic Addressing System Center (DAASC) will support 

conversion between MILS and DLMS transactions when used. 
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 b. MILSTRIP Procedures: 

 (1) Revise MILSTRIP Chapter 4, Status, to insert new procedures as follows:

 (a) Insert new subparagraph C4.6.1.3.1 as follows: 

C4.6. USE OF STATUS RECEIVED

 C4.6.1.3. Review supply status (DI AE_) received for additional action required 

by the status code, if any. 

 C4.6.1.3.1. If supply status identifies a processing delay due to storage site 

denial to the supply source’s material release order (Status BD with Management Code R), 

the customer/customer’s system shall update/clear the local record for the suffix and 

quantity identified (so that subsequent status on a next available suffix is not 

misinterpreted as duplicative/exceeding the quantity ordered, potentially triggering 

cancellation). Estimated shipping dates will not be provided with BD status when 

associated with storage activity denial as indicated by the Management Code R. Further 

supply action to satisfy the denied quantity will be identified on a subsequent supply status 

under next available suffix code. Use of BD status with Management Code R allows the 

customer’s system to better track status and recognize the correct quantity in process. 

 C4.6.1.3.2. If a requisition has been rejected (DI AE_ with a rejected status 

code), and the materiel is still required, the requirement must be submitted as a new 

MILSTRIP requisition citing a new transaction number with a current ordinal date. 

 (b) Insert new subparagraph C4.8.7 and renumber remaining paragraphs: 

C4.8. FURNISHING STATUS 

 C4.8.7 Supply sources shall furnish supply status indicating a processing delay 

when a material release order (MRO) is denied by the storage activity. Use Status Code 

BD and denial Management Code R citing the MRO denied quantity and suffix. 1 Further 

supply action to satisfy the denied quantity is anticipated to occur on a subsequent suffix 

code. 

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1 Authorized for use on an intra-Army basis (ADC 191), and subsequently expanded for interService/Agency use (ADC 312). Not implemented by DLA and other Services.

 (2) Revise definition of Status Code BD in MILSTRIP Appendix AP2.16 as follows:
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BD Requisition is delayed. 

(1) Delay due to need to verify requirements relative to authorized 

application, item identification, or technical data. 

(2) Requisition for GFM is delayed pending validation by either 

contracting MCA or between source of supply and MCA. See rp 4-6 to 

determine the activity performing the validation. Upon completion of 

review, additional status will be provided to indicate action taken. 

(3) If used with Management Code R, delay due to storage activity denial 

on the identified suffix. Clear/update local records for suffix and quantity 

identified. Further action on the denied quantity is anticipated to occur 

on a subsequent suffix code. 

 (3) Replace the current Management Code note associated with Status Code BD in 

MILSTRIP Appendix, AP3.10, Supply Status, with the following: 

For DI Code AE_ Transactions with Status Code BD Associated with Storage Site Denial (Army only) 

Management Code 72 Cite Management Code R with Status Code BD (rp 

65-66) when communicating to the customer that a 

storage site denial has occurred against an MRO. The 

status transaction will be for the denied quantity and 

suffix. 1 If status code (rp 65-66) is BD enter denial 

Management Code R, indicating a denial/refusal to the 

Stanard Army Retail Supply System (SARSS) operating 

under Army Single Stock Fund.

1 Authorized for use on an intra-Army basis (ADC 191), and subsequently expanded for interService/Agency use (ADC 312). Implementation outside Army applications is pending.

 c. MILSTRAP Procedures: Revise footnote 1 regarding Management Code R in 

MILSTRAP Appendix, AP2.6, as follows. 

 

AP2.62 ISSUE RELATED TRANSACTIONS 

R AE_1 Requisition delayed due to storage activity denial. 

1 Authorized for use in intra-Army supply status (ADC 191), and subsequently expanded for interService/Agency use (ADC 312). Implementation outside Army applications is pending.

 d. DLMS Procedures: Update DLMS manual as identified above for MILSTRIP and 

insert equivalent DLMS Supplement (DS) note as indicated below. 

Location Revision Reason 

2//LQ01/330 Replace DLMS note 2 as follows:

81 Status Code 

DLMS Note: 

1. Use to identify the supply status associated with the transaction 

Clarification 

consistent with 

expanded authorized 

use of this business 

process on a DoD-
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document number/suffix. 

2 If status code is BD (Army only), enter denial Management Code 

R, indicating a denial/refusal to the Standard Army Retail Supply 

System (SARSS) operating under Army Single Stock Fund (refer to 

ADC 191).

2. Multiple repetitions to identify all applicable supply status codes is 

a DLMS enhancement; see introductory DLMS note 3a. 

84 Management Code 

DLMS Note: 

1. Use to identify the applicable management code associated with the 

status code. 

2. Cite Management Code R with Status Code BD when 

communicating to the customer that a storage site denial has 

occurred against an MRO. The status transaction will be for the 

denied quantity and suffix. Authorized for use on an intra-Army 

basis (ADC 191), and subsequently expanded for interService/Agency use (ADC 312). Implementation of Management 

Code R outside Army applications is pending. ADC 191 applies.

3. Use multiple repetitions to identify all applicable supply status 

codes. This is a DLMS enhancement; see introductory DLMS note 3a. 

wide basis. 

Note moved to 

Management Code 

which is more 

appropriate. 

5. REASON FOR CHANGE: 

 (a) With the introduction of the Army Single Stock Fund (SSF), the SARSS system 

was encountering problems with Denials/Refusals (DI A6_) because SARSS cannot process 

the denial transactions from a depot or other Army Working Capital Fund (AWCF) sites. To 

resolve the problem, the Army wholesale system generates a supply status transaction with 

Status Code BD and a Management Code R in record position 72. The AE_ BD with R in cc 

72 allows SARSS to clear their suffix record when a refusal or denial has occurred from a 

CCSS generated Material Release Order (MILSTRIP A5_ ). Further action will occur 

against the denied quantity. 

(b) ADC 191 authorized the use of Management Code R for use on the MILS AE_ 

and the DLMS EDI 870S supply status transaction on an intra-Army basis to facilitate proper 

DAAS conversion. However, the volume of Army orders supported on an inter-Service basis 

drives the need for this functionality to be extended beyond intra-Army. This change 

requested that Management Code R be established for DoD usage. 

(c) The use of this technique will resolve a long standing void in MILSTRIP status 

generation and processing. Currently, there is no direct method to inform the customer that a 

denial has occurred against their requisition. Accordingly, all Services/Agencies are to 

incorporate these procedures on a phased implementation. 
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(d) Pending full implementation by status recipients, the BD status with Management 

Code R will be recorded in DAAS to facilitate research if needed. 

6. ADVANTAGES AND DISADVANTAGES: 

 a. Advantages: 

 (1) Resolves a long standing void in MILSTRIP status generation and processing as 

currently there is no direct manner to inform the customer that a denial has occurred against 

their requisition. Improves customer ability to track the status of their orders in process and 

close records properly and in a timely manner when the due-in quantity is received. 

(2) This change will reduces erroneous cancellation of suspected duplicate quantities 

and/or erroneous due-in increases and over obligation actions associated with SoS action on a 

different suffix code subsequent to the storage site denial. 

 b. Disadvantages: None 

7. IMPACT: 

 a. Phased implementation. 

 (1) Inventory Control Points are requested to notify DLMSO when implementation is 

scheduled so that Components may be alerted. 

 (2) Receipt of BD status with Management Code R. Components (other than 

Army) are asked to assess impact of receipt of this status on existing processes. If impact is 

negative, DAAS intervention may be requested by the Component to suppress transmission 

of Supply Status BD/Management Code R, pending completion of programming support for 

this ADC. 

 c. Revisions to manuals and supplemental instructions as identified above. 

 d. Update to DAASC maps.